value of all line items covered by the invitation may exceed $10,000: PARENT COMPANY AND EMPLOYER IDENTIFICATION NUMBER Each bidder shall furnish the following information by filling in the appropriate blocks: (a) Is the bidder owned or controlled by a parent company as described below? Yes No (For the purpose of this bid, a parent company is defined as one which either owns or controls the activities and basic business policies of the bidder. To own another company means the parent company must own at least a majority (more than 50 percent) of the voting rights in that company. To control another company, such ownership is not required; if another company is able to formulate, determine, or veto basic business policy decisions of the bidder, such other company is considered the parent company of the bidder. This control may be exercised through the use of dominant minority voting rights, use of proxy voting. contractual arrangements, or otherwise.) (b) If the answer to (a) above is "Yes," bidder shall insert in the space below the name and main office address of the parent company. (Name) (Address) (c) Bidder shall insert in the applicable space below, if he has no parent company, his own employer's identification number E.I. No.) (Federal social security number used on employer's quarterly Federal tax return, U.S. Treasury Department Form 941), or, if he has a parent company, the E.I. No. of his parent company. Bidder's E.I. No. Parent Company's E.I. No. 81-1.1605-2 Failure to provide infor mation. (a) If a bid does not contain the information called for by the invitation for bids provision in § 1-1.1605-1 and an identical bid report is required under § 1-1.1603-1, one inquiry shall be made of the bidder in an effort to obtain the information. If the information is not available after inquiry, the identical bid report shall be annotated so to indicate. (b) Failure to provide information concerning employer identification number or parent company relationship shall not be considered a basis for rejection of bids. Subpart 1-1.17 [Reserved] (a) When it is determined after contract award that the contractor does not or may not have a clear understanding of the scope of the contract, of its technical requirements, or of the rights and obligations of the parties, postaward orientation conferences may be employed (see § 1-1.1803) in order to clarify these matters. Where less complex contracts are involved, simpler means may be used, such as a letter to the contractor (see {1-1.1806). Postaward orientation of subcontractors also may be employed (see § 1-1.1804). (b) However, a postaward orientation conference may not be used in substitution for affirmative preaward determinations as to a bidder's responsibility, e.g., as to his willingness and ability to comply with the equal employment opportunity requirements. [31 F.R. 12437, Sept. 20, 1966, as amended at 36 F.R. 17421, Aug. 31, 1971] § 1-1.1803 Postaward orientation conferences. (g) Procurement history of the item or service; (h) Type and value of the contract; (1) Requirements for spare parts or related equipment; (j) Contractor's experience with the agency's contracts, or with the item or service being procured; (k) Extent of subcontracting; and (1) Safety precautions required for hazardous materials or operations. § 1-1.1803-2 Initial action. (a) The need for a postaward orientation conference normally will be established by the contracting officer or the head of the office in charge of contract administration as a result of substantive review and analysis of the contract and related reports. It is desirable for interested Government personnel to hold a meeting prior to the conference to assure that an appropriate and coordinated Government position is developed regarding indicated questions and problems. (b) An orientation conference should be held, as soon as possible after the contract award, when analysis of the contract or other information indicates that existing or potential problems may adversely affect the performance of the contract. The official who determines that a postaward orientation conference is needed should normally make all necessary arrangements to: (1) Conduct a preliminary meeting of Government personnel; (2) Establish the time and place of the orientation conference; (3) Prepare an agenda or checklist; (5) Designate a conference chairman (this should be the contracting officer if he will be a participant); and (6) Prepare a summary report of the conference, when necessary. When the contracting officer initiates the request for a conference, the arrangements referred to in this paragraph may be made by him or, at his request, by the office In charge of administration. § 1-1.1803-3 Agenda. The agenda of or checklist for an orientation conference may include such matters as: (a) Special contractual provisions; (b) Clarification of specifications and other work requirements; (c) Production planning; (d) Furnishing and control of Government property; (e) Billing and payment procedures; (f) Reporting requirements; (g) Processing of engineering changes and change orders; (h) Quality control and testing requirements; (i) Requirements for spare parts or related equipment; (j) Packaging and shipping; (1) Prime contractor responsibility for subcontracts; (m) Allowability of cost determinations; (n) Incentive features; (0) Security requirements; (q) Major problem areas or other appropriate topics. It is essential that all parties involved in the execution, administration, and performance of a Government contract have a clear and mutual understanding of the scope of the contract, the technical requirements, and the rights and obligations of the parties. Participants in a postaward orientation conference may include, as appropriate, the contracting officer, representatives from the contracting office and from the office in charge of administration, other interested Government personnel, and the contractor's representatives. § 1-1.1803-5 Conference procedure. The conference shall be conducted by the designated Government chairman, normally the contracting officer if he is a participant. Unless a specific contract change has been agreed to by the contracting officer at the preliminary meeting of Government personnel to be in the best interest of the Government, the chairman should emphasize that the conference is not being held for the purpose of changing the contract. Where the contracting officer participates in the conference, he may make commitments or give directions within the scope of his authority and he should, to the extent necessary, reduce to writing and sign any such commitments or directions. Participants who are without authority to bind the Government contractually should not take actions which may give the contractor the impression that the provisions of the contract are being altered. However, such participants, subject to any limitations placed upon their authority, may provide information and guidance to explain existing provisions and requirements of the contract Where a summary report of the conference is to be prepared, the report should cover such matters as are set forth in § 1-1.1805. § 1-1.1804 Subcontract conferences. The prime contractor is generally responsible for conducting any necessary postaward orientation conferences with subcontractors. However, in exceptional cases involving subcontracted items or services which are technically complex the prime contractor may invite the Government to participate in a conference or the Government may request the prime contractor to initiate such a conference with the subcontractor. Representatives from the Government office in charge of administration of the prime contract and subcontracts thereunder, should be included as participants. Government participants in such conferences should give due regard to the lack of contractual privity (normally none exists) between the Government and subcontractors. Accordingly, they should not make commitments, give directions, or take any actions which change or are inconsistent with the provisions of the subcontract. § 1-1.1805 Reports. Summary reports of conferences should be prepared as provided by agency procedures. Such reports should cover the significant items discussed, including areas requiring resolution, controversial matters, and the names of the participants or units assigned responsibility for further actions, as well as the due dates for such actions. § 1-1.1806 Postaward letters. Where less complex contracts are involved, a letter to the contractor may be sufficient. In such cases, the letter should identify the Government representative responsible for administering the contract and should cite any unusual contract requirements such as special reports, revised specifications, preproduction tests, subcontracting consent requirements, Government property to be AUTHORITY: The provisions of this Part 1-2 issued under sec. 205 (c). 63 Stat. 390; 40 U.S.C. 486(c). SOURCE: The provisions of this Part 1-2 appear at 29 F.R. 10141. July 24. 1964, unless otherwise noted. § 1-2.000 Scope of part. This part sets forth (a) the basic requirements for procurement of personal property and nonpersonal services (including construction) by formal advertising, (b) the information to be contained in solicitations of bids, (c) methods in soliciting bids, (d) policies with respect to the submission of bids, and (e) requirements with respect to the opening and evaluation of bids and the awarding of contracts. Subpart 1-2.1-Use of Formal § 1-2.101 Meaning of formal advertis ing. Formal advertising means procurement by competitive bids and awards, as prescribed in this Part 1-2, and involves the following basic steps: (a) Preparation of the invitations for bids, describing the requirements of the Government clearly, accurately, and completely, but avoiding unncessarily restrictive specifications or requirements which might unduly limit the number of bidders. The term "invitation for bids" means the complete assembly of related documents (whether attached or incorporated by reference) furnished prospective bidders for the purpose of bidding. (b) Publicizing the invitation for bids through distribution to prospective bidders, posting in public places, and such other means as may be appropriate, in sufficiert time to enable prospective bidders to prepare and submit bids before the time set for public opening of bids. (c) Submission of bids by prospective contractors. (d) Awarding the contract, after bids are publicly opened, to that responsible bidder whose bid, conforming to the invitation for bids, will be most advantageous to the Government, price and other factors considered. § 1-2.102 Policy. (a) Procurement shall be made by formal advertising whenever such method is feasible and practicable under the existing circumstances even though such conditions and circumstances would otherwise satisfy the requirements of Subpart 1-3.2. In accordance with this requirement, procurements shall generally be made by soliciting bids from all qualified sources of supplies or services deemed necessary by the contracting officer to assure full and free competition consistent with the procurement of the required property or services. Current lists of bidders shall be maintained in accordance with § 1-2.205. (b) For requirements applicable to the pricing of modifications of formally advertised contracts see § 1-3.807-3. (c) As directed by statute (section 310 of the Federal Property and Administrative Services Act of 1949, as amended by section 5, 79 Stat. 1303, 41 U.S.C. 260), executive agencies shall not follow the advertising procedures of sections 3709 and 3710 of the Revised Statutes, but shall comply with the advertising requirements of Title III of the Federal Property and Administrative Services Act of 1949 (hereafter in this Part 1-2 referred to as "the Act") unless otherwise authorized by law. (d) Where an agency, acting under section 602(d) of the Act or other law. makes inapplicable to it Title III of the Act, or sections 302(c) and 303 thereof sections 3709 and 3710 of the Revised Statutes shall apply, unless by statute the agency is authorized to procure without advertising or without regard to said section 3709. [30 FR 9592, July 31, 1965, as amended at 31 FR 348, Jan. 12, 1966] § 1-2.103 General requirements for formally advertised contracts. No contract shall be deemed to have been made by formal advertising unless: (a) Bids have been solicited as required by Subpart 1-2.2; (b) Bids have been submitted as required by Subpart 1-2.3; and (c) Determination has been made as to the responsible bidder (see Subpart 1-1.12) whose bid is responsive to the Invitation for bids and is most advantageous to the Government, price and other factors considered, and award is made as prescribed in Subpart 1-2.4. [29 F.R. 10141, July 24, 1964, as amended at 36 F.R. 17421, Aug. 31, 1971] § 1-2.104 Types of contracts. § 1-2.104-1 General. Procurement contracts awarded after formal advertising shall be of the firm Axed-price type, except that fixed-price ontracts with escalation may be used where some flexibility is necessary and feasible. § 1-2.104-2 Firm fixed-price contracts. See § 1-3.404-2. § 1-2.104-3 Fixed-price contracts with escalation. Escalation clauses are not normally desirable, but in appropriate cases clauses providing for upward and downward revision of prices may be used, in accordance with § 1-3.404-3, in order to protect the interest of both the Government and contractor. In addition, where the contracting officer, on the basis of his knowledge of the market or previous advertisements for like items, expects that a requirement for firm fixed-price bids will unnecessarily restrict competition or unreasonably increase bid prices, invitation for bids may include an escalation clause approved by the agency concerned. Any escalation clause shall provide an escalation ceiling identical for all bidders so that each bidder is afforded an equal opportunity to bid on the escalation basis. In evaluating bids, see § 1-2.407-4. § 1-2.104-4 Indefinite delivery-type Forms used in inviting bids are prescribed in Subparts 1-16.1 and 1-16.4. Invitations for bids shall contain the ap plicable information in paragraphs (a) and (b) of this § 1-2.201, and any other information required for a particular procurement. (a) For supply and service contracts, including construction, invitations for bids shall contain the following information if applicable to the procurement involved. Additional items peculiar to construction contracts are enumerated in § 1-18.203-1(b). (1) Invitation number. (2) Name and address of issuing activity. (3) Date of issuance. (4) Date, hour, and place of opening. (Prevailing local time shall be used. See § 1-2.202-1 concerning bidding time.) (5) Number of pages. (6) Where required by agency procedures, requisition or other purchase authority, and appropriation and accounting data. (7) A description of supplies or services to be furnished under each item in |